{"id":4881,"date":"2023-07-13T07:37:27","date_gmt":"2023-07-13T07:37:27","guid":{"rendered":"https:\/\/mysourcefunding.com\/startups\/congress-wants-to-take-back-power-over-crypto\/"},"modified":"2023-07-13T07:37:28","modified_gmt":"2023-07-13T07:37:28","slug":"congress-wants-to-take-back-power-over-crypto","status":"publish","type":"post","link":"https:\/\/mysourcefunding.com\/?p=4881","title":{"rendered":"Congress Wants to Take Back Power Over Crypto"},"content":{"rendered":"
\n

The US crypto<\/span> business is having an identity crisis, which could become an existential one. Are cryptocurrencies commodities, like gold and pork bellies? Or securities, like stocks and futures? The Securities and Exchange Commission, America\u2019s top financial regulator, is so convinced that cryptocurrencies are the latter that it\u2019s suing one of the world\u2019s largest crypto exchanges, Coinbase, for breaking securities laws. The SEC has instigated an aggressive campaign of \u201cregulation by enforcement,\u201d going after companies for all kinds of alleged violations and insisting that they register with the agency\u2014something crypto businesses say is all but impossible.<\/p>\n

But another regulator, the Commodity Futures Trading Commission, has also sued one of the industry\u2019s biggest players, Binance, alleging it has broken commodity trading laws.<\/p>\n

The confusion over what crypto is and who sets its rules has left the industry on edge. On Wednesday, senators Cynthia Lummis and Kirsten Gillibrand\u2014a Wyoming Republican and New York Democrat, respectively\u2014will unveil a new version of their proposed regulatory regime for the fintech industry, which hopes to settle the question.<\/p>\n

While there\u2019s plenty new in the revamped Lummis-Gillibrand Responsible Financial Innovation Act, its centerpiece is a measure that would classify most cryptocurrencies as commodities, putting them under the purview of the CFTC. It\u2019s a clear rebuke to the SEC, which, Lummis and others say, is stifling innovation in financial technologies.<\/p>\n

\u201cThe domestic industries really are trying to comply, for the most part, and they\u2019re just getting the cold shoulder,\u201d Lummis says. \u201cThat\u2019s not how we regulate in this country.\u201d<\/p>\n

The content of the legislation seeks to prevent a repeat of the apparent failings in the crypto industry, which led to a series of high-profile collapses in the industry over the past two years that have left many investors with losses.<\/p>\n

According to a person with knowledge of the act, the legislation, if passed, would compel crypto exchanges to keep their customers\u2019 assets in third-party trusts and stop them from so-called \u201cproprietary trading\u201d\u2014essentially, trading with their own funds on their own exchange. It would also give the CFTC the power to supervise \u201cmaterial affiliates\u201d of exchanges\u2014such as Alameda Research, the sister company of the collapsed FTX exchange, whose founder, Sam Bankman-Fried, is awaiting trial on fraud charges. FTX allegedly lent large amounts of customer funds to Alameda to cover its investment losses, ahead of a liquidity crisis on the exchange that led to its downfall.<\/p>\n

The act also bans \u201crehypothecation,\u201d which essentially outlaws lenders\u2019 ability to finance digital assets with collateral already pledged for different loans, the person says.<\/p>\n

The SEC and other agencies were consulted on the content of the legislation, according to Lummis, who still worries they\u2019ll try to kill the measure. \u201cThey have seen it. We asked them to tweak it, and we\u2019ve incorporated some of their changes,\u201d she says. \u201cAfter all of our efforts to reach out to them and work with them, I do not want them to come in at the last minute to put their kibosh on this.\u201d<\/p>\n<\/div>\n

Read the full article here<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

The US crypto business is having an identity crisis, which could become an existential one. Are cryptocurrencies commodities, like gold and pork bellies? Or securities, like stocks and futures? The Securities and Exchange Commission, America\u2019s top financial regulator, is so convinced that cryptocurrencies are the latter that it\u2019s suing one of the world\u2019s largest crypto […]<\/p>\n","protected":false},"author":1,"featured_media":4882,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[77],"tags":[],"class_list":{"0":"post-4881","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-startups"},"yoast_head":"\nCongress Wants to Take Back Power Over Crypto | Brandiary<\/title>\n<meta name=\"description\" content=\"The US crypto business is having an identity crisis, which could become an existential one. Are cryptocurrencies commodities, like gold and pork bellies?\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/mysourcefunding.com\/?p=4881\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Congress Wants to Take Back Power Over Crypto | Brandiary\" \/>\n<meta property=\"og:description\" content=\"The US crypto business is having an identity crisis, which could become an existential one. Are cryptocurrencies commodities, like gold and pork bellies?\" \/>\n<meta property=\"og:url\" content=\"https:\/\/mysourcefunding.com\/?p=4881\" \/>\n<meta property=\"og:site_name\" content=\"Brandiary\" \/>\n<meta property=\"article:published_time\" content=\"2023-07-13T07:37:27+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-07-13T07:37:28+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/07\/Congress-Wants-To-Take-Back-Power-Over-Crypto-Business-1240879169.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1280\" \/>\n\t<meta property=\"og:image:height\" content=\"670\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"News Room\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"News Room\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/mysourcefunding.com\/?p=4881#article\",\"isPartOf\":{\"@id\":\"https:\/\/mysourcefunding.com\/?p=4881\"},\"author\":{\"name\":\"News Room\",\"@id\":\"https:\/\/mysourcefunding.com\/#\/schema\/person\/5062dafb0f932b59aa228f1a047332f4\"},\"headline\":\"Congress Wants to Take Back Power Over Crypto\",\"datePublished\":\"2023-07-13T07:37:27+00:00\",\"dateModified\":\"2023-07-13T07:37:28+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/mysourcefunding.com\/?p=4881\"},\"wordCount\":524,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/mysourcefunding.com\/#organization\"},\"articleSection\":[\"Startups\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/mysourcefunding.com\/?p=4881#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/mysourcefunding.com\/?p=4881\",\"url\":\"https:\/\/mysourcefunding.com\/?p=4881\",\"name\":\"Congress Wants to Take Back Power Over Crypto | Brandiary\",\"isPartOf\":{\"@id\":\"https:\/\/mysourcefunding.com\/#website\"},\"datePublished\":\"2023-07-13T07:37:27+00:00\",\"dateModified\":\"2023-07-13T07:37:28+00:00\",\"description\":\"The US crypto business is having an identity crisis, which could become an existential one. Are cryptocurrencies commodities, like gold and pork bellies?\",\"breadcrumb\":{\"@id\":\"https:\/\/mysourcefunding.com\/?p=4881#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/mysourcefunding.com\/?p=4881\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/mysourcefunding.com\/?p=4881#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/mysourcefunding.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Congress Wants to Take Back Power Over Crypto\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/mysourcefunding.com\/#website\",\"url\":\"https:\/\/mysourcefunding.com\/\",\"name\":\"Brandiary\",\"description\":\"Latest Business and Startup News and Updates\",\"publisher\":{\"@id\":\"https:\/\/mysourcefunding.com\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/mysourcefunding.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/mysourcefunding.com\/#organization\",\"name\":\"Brandiary\",\"url\":\"https:\/\/mysourcefunding.com\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/mysourcefunding.com\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/b-logo-1.png\",\"contentUrl\":\"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/b-logo-1.png\",\"width\":381,\"height\":100,\"caption\":\"Brandiary\"},\"image\":{\"@id\":\"https:\/\/mysourcefunding.com\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/mysourcefunding.com\/#\/schema\/person\/5062dafb0f932b59aa228f1a047332f4\",\"name\":\"News Room\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/mysourcefunding.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/avatar_user_1_1688031660-96x96.png\",\"contentUrl\":\"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/avatar_user_1_1688031660-96x96.png\",\"caption\":\"News Room\"},\"sameAs\":[\"https:\/\/mysourcefunding.com\"],\"url\":\"https:\/\/mysourcefunding.com\/?author=1\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Congress Wants to Take Back Power Over Crypto | Brandiary","description":"The US crypto business is having an identity crisis, which could become an existential one. Are cryptocurrencies commodities, like gold and pork bellies?","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/mysourcefunding.com\/?p=4881","og_locale":"en_US","og_type":"article","og_title":"Congress Wants to Take Back Power Over Crypto | Brandiary","og_description":"The US crypto business is having an identity crisis, which could become an existential one. Are cryptocurrencies commodities, like gold and pork bellies?","og_url":"https:\/\/mysourcefunding.com\/?p=4881","og_site_name":"Brandiary","article_published_time":"2023-07-13T07:37:27+00:00","article_modified_time":"2023-07-13T07:37:28+00:00","og_image":[{"width":1280,"height":670,"url":"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/07\/Congress-Wants-To-Take-Back-Power-Over-Crypto-Business-1240879169.jpg","type":"image\/jpeg"}],"author":"News Room","twitter_card":"summary_large_image","twitter_misc":{"Written by":"News Room","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/mysourcefunding.com\/?p=4881#article","isPartOf":{"@id":"https:\/\/mysourcefunding.com\/?p=4881"},"author":{"name":"News Room","@id":"https:\/\/mysourcefunding.com\/#\/schema\/person\/5062dafb0f932b59aa228f1a047332f4"},"headline":"Congress Wants to Take Back Power Over Crypto","datePublished":"2023-07-13T07:37:27+00:00","dateModified":"2023-07-13T07:37:28+00:00","mainEntityOfPage":{"@id":"https:\/\/mysourcefunding.com\/?p=4881"},"wordCount":524,"commentCount":0,"publisher":{"@id":"https:\/\/mysourcefunding.com\/#organization"},"articleSection":["Startups"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/mysourcefunding.com\/?p=4881#respond"]}]},{"@type":"WebPage","@id":"https:\/\/mysourcefunding.com\/?p=4881","url":"https:\/\/mysourcefunding.com\/?p=4881","name":"Congress Wants to Take Back Power Over Crypto | Brandiary","isPartOf":{"@id":"https:\/\/mysourcefunding.com\/#website"},"datePublished":"2023-07-13T07:37:27+00:00","dateModified":"2023-07-13T07:37:28+00:00","description":"The US crypto business is having an identity crisis, which could become an existential one. Are cryptocurrencies commodities, like gold and pork bellies?","breadcrumb":{"@id":"https:\/\/mysourcefunding.com\/?p=4881#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/mysourcefunding.com\/?p=4881"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/mysourcefunding.com\/?p=4881#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/mysourcefunding.com\/"},{"@type":"ListItem","position":2,"name":"Congress Wants to Take Back Power Over Crypto"}]},{"@type":"WebSite","@id":"https:\/\/mysourcefunding.com\/#website","url":"https:\/\/mysourcefunding.com\/","name":"Brandiary","description":"Latest Business and Startup News and Updates","publisher":{"@id":"https:\/\/mysourcefunding.com\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/mysourcefunding.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/mysourcefunding.com\/#organization","name":"Brandiary","url":"https:\/\/mysourcefunding.com\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/mysourcefunding.com\/#\/schema\/logo\/image\/","url":"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/b-logo-1.png","contentUrl":"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/b-logo-1.png","width":381,"height":100,"caption":"Brandiary"},"image":{"@id":"https:\/\/mysourcefunding.com\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/mysourcefunding.com\/#\/schema\/person\/5062dafb0f932b59aa228f1a047332f4","name":"News Room","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/mysourcefunding.com\/#\/schema\/person\/image\/","url":"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/avatar_user_1_1688031660-96x96.png","contentUrl":"https:\/\/mysourcefunding.com\/wp-content\/uploads\/2023\/06\/avatar_user_1_1688031660-96x96.png","caption":"News Room"},"sameAs":["https:\/\/mysourcefunding.com"],"url":"https:\/\/mysourcefunding.com\/?author=1"}]}},"_links":{"self":[{"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/posts\/4881","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4881"}],"version-history":[{"count":1,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/posts\/4881\/revisions"}],"predecessor-version":[{"id":4883,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/posts\/4881\/revisions\/4883"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=\/wp\/v2\/media\/4882"}],"wp:attachment":[{"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4881"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4881"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mysourcefunding.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4881"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}